Australian online retailer Klika says it welcomes Amazon’s entrance in Australia, and believes that while the world’s largest retailer will grow the local online retail pie, Klika will undoubtedly reap some benefits of that.
Klika says it expects its profits to soar through its planned partnership with Amazon. As the local online retail industry prepares for the next wave in retail revolution to sweep Australia, Klika, believes the “Amazon effect” will grow its business and says it awaits eagerly for the e-commerce giant to arrive in Australia.
“Whilst many local businesses are under a real threat of becoming irrelevant, we’re excited and welcome the entrance of Amazon into the Australian market,” says Klika’s director of commercial operations, Leo Zaitsev.
Unlike many players in the market, Klika explains that it has complete control of the entire supply chain of its private brands across thousands of products, and is not restricted to being a mere website for local distributors to offload their excess stock.
“Our private brands and products have a mass following, and are already entrenched in every online marketplace in Australia which naturally diversifies our business, and we forecast the same to occur with Amazon’s marketplace. We know who we are and have a good customer proposition.”
Zaitsev expects the current 7% online retail market penetration in Australia to double over the next few years with Amazon’s marketing power, and for Klika to leverage off the traffic Amazon will command to promote its suite of products, and increase its market share through a new demographic Amazon is likely to capture.
“We are able to be more innovative than just compete on price, as our customers still look for a quality provider that gives them individual attention,” he explains. “Our customers have the option of shopping online, over the phone or the more traditional way in our physical store. In addition to nationwide delivery, we also offer on-demand delivery in Melbourne metro, as well as click-and-collect, to provide a more holistic shopping experience”.
Founded in 2005, Australian owned and operated Klika offers over 10,000 products to shoppers, covering a range of merchandise from fitness equipment, tools, home living, music instruments and outdoor furniture, with a flat shipping rate nationwide for $9.95. Trading 7 days a week Klika, provides nationwide delivery even for its largest products, as well pickups and same day delivery in Melbourne.